How did a $9 Billion Health Tech Startup End up DOA?

Please read the paper by Ernesto Dal Bo & Guo Xu: cited above.

Is this a case of hype, myth, deception, lack of scientific understanding, none of the above, or all of the above? From a consulting perspective it is common to engage with emerging technologies and how to best advice the target client. 

Please write an individual paper with a minimum of 4 pages (NYT , 12 font, 1.5 space). The focus of the paper should be on the following:

1. The outcome of the Theranos saga is quite exceptional. How exceptional do you think the underlying situation and pressures highlighted in this case are, relative to other innovative ventures?

2. Consider the incentives for innovative entrepreneurs when it comes to promoting their products. Should innovative entrepreneurs overpromise, or misrepresent in any way their product? Or do all new startups push the line of overpromising at least a little? How could a consulting firm approach this situation?

3. What if any incentives did the whistleblowers have in this case? What is the role of a consulting firm if they see any improper actions from their clients?

4. What factors make it harder to detect fraud or other violations of public trust in the corporate world?